The government of Dagestan has defined an organization to deal with Islamic finance. In accordance with Decree No. 112, the "Fund for Support of Small and Medium-Sized Enterprises of the Republic of Dagestan" will be rebranded as the "Partnership Financing Fund of the Republic of Dagestan."

“To establish that the main purpose of the Fund's activity is partnership financing activities and development of new forms of provision of financial resources” - the decree runs.

The regional Agency of Entrepreneurship and Investments of Dagestan, as the founder of the Fund, is charged with ensuring the fulfillment of the Decree.

It is necessary to remind that in accordance with amendments to the federal legislation in Dagestan, Chechnya, Tatarstan and Bashkiria an experimental legal regime for the implementation of Islamic financial products called partnership finance was introduced. The Fund for Support of Small and Medium-sized Enterprises of the Republic of Dagestan was established in 2011.